The GOOD Rebound: GOOD Always Prevails

At approximately 1800 hrs 12 September 2023, Good Entry Core team were alerted with a possible attack on the ecosystem by early community members @CryptMoose_, GarrettZ, 0xdidi, 0xsmolbrainfarmer, WaaCrypto, 0xkhan_, DeFi_Made_here. Team acknowledged that there was inflation and swiftly contained the issue by freezing all markets. Losses have been kept to the minimum. Funds are Safu.

We have observed approximately ~84k USDC in losses to our ecosystem of 1.6m TVL. Good Entry is committed to make all our users whole as soon as possible. The key actionable as a community is to safely migrate from the current Alpha mode to Production.

Recap of Events

• Power User tried to close a very large trade, repaying debt with depositing assets into tick ETH-1,600.
• Large swap (~115k) moved the price out of the tick. USDC was not deposited properly. This was the manifestation of a known bug (H-01) and mitigated in code4arena audit that also concluded on 12 September 2023.
• “Lost’ USDC was accounted for as fees, inflating the value of the ticker and ezVault holding its supply.
• Inflated value causes traders to be underwater
• Some users saw inflated value and withdrew, with 31 unique addresses receiving approximately 2x fair share of the vault TVL.

The losses were kept to a minimum for two defining factors. Firstly, Good Entry has one of the best communities in the space. Good intentioned users alerted the team early so the team was able to react quickly. Secondly, the team’s responsible multi-layered security approach. As a responsible product team, we instituted caps on our vaults, ensuring that any unforeseen incidents can always be managed. The team have also invested in multiple audits with Peckshield, Protofire and Code4Arena. With a notable $90,000 USD bounty in the recent contest.

The positive takeaways in this event are:

• Beneficiaries were active Good users
• Good Entry has whale-size degens
• We are definitely the most battle tested and sophisticated V3 Perp Dex in the space

Next Steps

The next steps are to happen in the next 5–7 days. Our priority is to allow funds to be withdrawn safely and for users who continue to want to participate in the Good to migrate with us to our production system.

1. Core team is equalizing inflated ticks
2. We are topping up the positions
3. Open Source + Verify contracts
4. Launch Withdraw and Migration to Production dApp
5. Scale $GOOD

How Can You Help

Firstly, as a community driven project, we are funding all these security efforts on our own. We appeal to Good users who were able to protect the protocol to return the funds less 10% bounty to our address on Arbitrum at: 0xC1468c6c79F8c16B3919e28e37FA4156CaEc3fE2.

Refer to the Dune Dashboard to review the addresses.

Addresses with $GOOD intentions that have returned funds to Good Entry will receive additional $GOOD Rewards.

Addresses that do not return funds by 30 September 2359 hrs UTC will have their $GOOD Rewards voided.

Secondly, we will also be rewarding $GOOD points to our whale trader for trusting our system and launching good trades.

Finally, we will be incentivising users who are migrating to our new production grade system.

We will continue updating the community on good updates on twitter and discord.

Good Always Prevails